An actual case:
A farmer bought 67 acres from CPR. There was a pipeline running under the land and CPR was getting paid $500/yr in rent from the pipeline company (since the early 60's).
When they sold the 67 ac. they included the pipeline contract in the deal. This is an old abandoned pipeline. The farmer wanted to develop the land as a gravel pit (the reason he bought it).
The pipeline company decided they would no longer pay the farmer the $500. He decided to take them to the surface rights board. The surface rights board refused the farmers request that the pipeline company should honor a signed contract.
The farmer appealed....and the appeal court refused a signed contract! They further denied him any cost recovery.....in this case $60,000.
He has since sold the property to a gravel company. The discount for the pipeline was $200,000. Now he is suing the pipeline company for the difference and hopes to get the whole thing up to a higher court, where he might get some justice.
A farmer bought 67 acres from CPR. There was a pipeline running under the land and CPR was getting paid $500/yr in rent from the pipeline company (since the early 60's).
When they sold the 67 ac. they included the pipeline contract in the deal. This is an old abandoned pipeline. The farmer wanted to develop the land as a gravel pit (the reason he bought it).
The pipeline company decided they would no longer pay the farmer the $500. He decided to take them to the surface rights board. The surface rights board refused the farmers request that the pipeline company should honor a signed contract.
The farmer appealed....and the appeal court refused a signed contract! They further denied him any cost recovery.....in this case $60,000.
He has since sold the property to a gravel company. The discount for the pipeline was $200,000. Now he is suing the pipeline company for the difference and hopes to get the whole thing up to a higher court, where he might get some justice.
Comment